Refineries will reduce operating capacity for maintenance
US: Refineries will reduce operating capacity for maintenance
U.S. refineries are getting back to work in the first quarter of 2023 after their operating rates skyrocketed last year and are targeting between 85% and 89% of capacity. capacity.
|Oil refinery in Houston, Texas, USA. Photo: AFP/VNA|
Lower operating rates will reduce supplies of gasoline, diesel and jet fuel, helping to maintain high margins for mills during one of the weakest demand periods of the year. The drop in operating rates reflects refineries’ efforts to keep up with maintenance times. Analysts say the planned overhaul this quarter will be the biggest in five years.
The largest US refiner by capacity, Marathon Petroleum Corp., said it plans to operate at 88% capacity in the first three months of this year, down from the corresponding 94% in the previous quarter. . Second-largest refinery Valero Energy Corp is targeting between 85% and 88% of capacity, down from 97% in the previous quarter.
Plant maintenance work will be heaviest at refineries along the US Gulf Coast, analysts say, with major overhauls in the coming weeks at those run by major oil giants including Marathon, Valero, Exxon Mobil Corp and Phillips 66 operate.
Analysts forecast profits from refining a barrel of oil into fuel this quarter to average $21 a barrel, excluding renewable fuel credits, down from about $27 a barrel in the quarter. before.
John Auers, CEO of Refined Fuel Analytics, said refineries have scaled down maintenance in 2020 and 2021 to reduce the risk of contractors infected with Covid-19. Then in 2022 they had really high margins so they ramped up production as much as they could.
Mr. Auers estimates US refining capacity will stay at current levels for the rest of the decade and decline into the 2030s. Overall capacity fell to 17.9 million bpd last year, from nearly 19 million bpd in 2019.
at Thuvienpc.com – Source: Baodautu.vn – Read the original article here